Cuts to salaries of university and college presidents will save the Government of Alberta and post-secondary institutions $5 million per year.
Lakeland College president is on the list of post secondary presidents that will see their executive compensation reduced to eliminate excess perks. Finance Minister Joe Ceci says that they will continue to clean up waste and make sure taxpayers dollars are well spent.
“We started by getting rid of unnecessary boards. Then we eliminated perks and bonuses, like the golf club memberships. And now we are reining in salaries of the top executives of our agencies, boards and commissions, including post-secondary institutions.”
Under the new framework, there will be a cap placed on salaries for presidents of colleges, an elimination of executive bonuses, a 52 week maximum of executive severance pay and will prohibit perks such as allowances. Board Chair of Lakeland College Darrel Howell says that the new rules have generated concern among the board chairs, but ultimately will be best for the students in the province.
“We’ve had sometime to study the details and I think it looks like a reasonable approach. I think it will allow us to continue to do the right thing for our students, our staff and our faculty, but in a fiscally responsible manner.”
Last week, Alberta introduced new conflict of interest rules that will hold the heads of 52 public agencies, including Lakeland to the same ethical standards as elected officials. There will be a two-year transition period for existing presidents to adhere to the new rules, however as of April 15 new or renewed contracts for presidents must follow these new rules.
